Page 193 - Ebook HTKH 2024

In the Vietnamese context, digital transformation is gaining traction due to several
government initiatives and the increasing global competitiveness of the country's

enterprises. Vietnam’s National Digital Transformation Program aims to accelerate the
adoption of digital technologies in industries such as manufacturing, agriculture, and
logistics (Vietnam Ministry of Information and Communications, 2020). However,
scholars have noted challenges in this process, particularly for small and medium-sized
enterprises (SMEs) that often lack the financial resources and expertise to fully embrace
digital transformation (Doan & Vuong, 2019).
2.2. Green transformation
Green transformation, on the other hand, refers to the process of transitioning

towards more environmentally sustainable business practices. This includes reducing
carbon emissions, minimizing waste, optimizing resource use, and adopting clean
energy technologies. According to Geissdoerfer et al. (2017), green transformation is
closely linked to the concept of the circular economy, which emphasizes resource
efficiency, waste reduction, and the reuse of materials to create a closed-loop production
system.

Scholarly research has explored various aspects of green transformation, including
the drivers of sustainability and the benefits of adopting green practices. Geissdoerfer et
al. (2017) highlight that regulatory pressures, consumer demand for sustainable
products, and the rising costs of natural resources are key drivers of green transformation
for businesses. Additionally, companies that successfully integrate sustainability into
their operations often experience long-term cost savings, enhanced brand reputation,
and improved relationships with stakeholders (Dyllick & Muff, 2016).

Vietnam has made significant strides in promoting green transformation,
particularly through its Law on Environmental Protection (2020), which sets strict
environmental standards for enterprises. However, research by Nguyen and Pham
(2020) points out that the high costs of green technologies and the lack of awareness
among businesses, especially SMEs, remain significant barriers to broader adoption of
green practices in Vietnam.

2.3. The intersection of digital and green transformation
There is a growing body of literature examining the intersection between digital
transformation and green transformation, highlighting how digital technologies can be
leveraged to achieve sustainability goals. This synergy between DT and GT has been
termed “digital sustainability” (Rudolph & Figge, 2017), which refers to the use of
digital innovations to promote environmental sustainability. Scholars argue that digital
technologies such as AI, IoT, and big data can play a pivotal role in enabling businesses
to reduce their environmental impact. For instance, AI-driven systems can optimize

energy consumption by monitoring usage patterns and adjusting operations in real time
(International Energy Agency, 2020). IoT devices can provide insights into supply chain
efficiencies, helping businesses reduce waste and improve resource management
(Kamble et al., 2019). Moreover, digital platforms enable companies to

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